Generational Talent

Q: iPhone Upgrade Program Question

I've read and re-read the Apple statement about its upgrade policy, but I still have a few clarification questions.

 

1) Let's say I purchase an iPhone 7 on the upgrade plan.  Whenever I upgrade to iPhone 8, would that terminate my contract for iPhone 7?  The way it puts it in the explanation seems that you only pay $36.58 per month (128gb model) for twelve months, totalling $438.96 over the year, and then terminate that contract to enact a new one for the iPhone 8.  Is that correct?  That would make it technically cheaper than the $749.00 one time payment for the same model.

 

2) Once you upgrade, are you required to return the first phone?  Or do you keep both?  (Would you be able to sell back the first phone to get an even better deal?)

 

3) If I'm understand right, this upgrade program only applies with the iPhone 7 and 7 plus, correct?  Even though you can buy an iPhone 6s on a monthly payment plan, you wouldn't be eligible to eventually upgrade?

 

Much thanks.

Posted on Sep 13, 2016 4:47 PM

Close

Q: iPhone Upgrade Program Question

  • All replies
  • Helpful answers

  • by Dadasmithywinkle,Apple recommended

    Dadasmithywinkle Dadasmithywinkle Sep 13, 2016 5:00 PM in response to Generational Talent
    Level 2 (319 points)
    iPhone
    Sep 13, 2016 5:00 PM in response to Generational Talent

    1) You have to have the iPhone for 12 months-worth of payments and/or at least 6 months of ownership before you can trade it in. If you were to trade it in from 6-11 months, you'd have to pay the difference to get to the total payments of 12 months (if you're at 6 months, then you'd still owe 6 months-worth of payments).

     

    When you trade in your current iPhone, it essentially ends that payment process/loan with Citizen's 1 Bank and creates a new one for your new iPhone.

     

    The total cost is the iPhone and AppleCare+ divided by 24 months with 0 interest, so it is the same as getting the iPhone and AppleCare+. No price savings, no extra expenditure.

     

    2) Yes, you must trade in the original iPhone. The only situation where you can keep it is if you've paid off the full 24 months of payments. Then the iPhone is yours.

     

    3) Yes, it only applies to the latest iPhone models.

     

    For clarification on what I said and for more info, visit the official site: http://www.apple.com/shop/iphone/iphone-upgrade-program

  • by Phil0124,

    Phil0124 Phil0124 Sep 13, 2016 5:02 PM in response to Generational Talent
    Level 7 (27,431 points)
    iPhone
    Sep 13, 2016 5:02 PM in response to Generational Talent

    Generational Talent wrote:

     

    1) Let's say I purchase an iPhone 7 on the upgrade plan.  Whenever I upgrade to iPhone 8, would that terminate my contract for iPhone 7?  The way it puts it in the explanation seems that you only pay $36.58 per month (128gb model) for twelve months, totalling $438.96 over the year, and then terminate that contract to enact a new one for the iPhone 8.  Is that correct?  That would make it technically cheaper than the $749.00 one time payment for the same model.

     

     

    Yes, basically you stop the plan for the 7, and start the plan with the nest model (likely 7s) from month 1.

     

    Generational Talent wrote:

     

    2) Once you upgrade, are you required to return the first phone?  Or do you keep both?  (Would you be able to sell back the first phone to get an even better deal?)

     

     

    To get the new one you need to turn in the old one, you cannot keep it. If you wish to keep the old one, then you need to complete the equivalent of 24 months of payments on it.  Once you've completed the full cost of the iPhone + Apple Care then you can keep it.

     

    So yes, you get a new iPhone every year as long as you pay 12 months worth of payments every year and turn in the old phone.  Which is in fact about half the iPhone plus the Apple Care cost.

     

    Generational Talent wrote:

     

     

    3) If I'm understand right, this upgrade program only applies with the iPhone 7 and 7 plus, correct?  Even though you can buy an iPhone 6s on a monthly payment plan, you wouldn't be eligible to eventually upgrade?

     

     

    Correct.  You can only get the iPhone 7 currently on the upgrade plan.  You only get the option with the newest available model.